HF 1610

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to child care; modifying child care 
  1.3             improvement grants; appropriating money; amending 
  1.4             Minnesota Statutes 1998, section 119B.25, subdivision 
  1.5             3. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1998, section 119B.25, 
  1.8   subdivision 3, is amended to read: 
  1.9      Subd. 3.  [FINANCING PROGRAM.] A nonprofit corporation that 
  1.10  receives a grant under this section shall use the money to: 
  1.11     (1) establish a revolving loan fund to make loans to 
  1.12  existing, expanding, and new licensed and legal unlicensed child 
  1.13  care and early childhood education sites; 
  1.14     (2) establish a fund to guarantee private loans to improve 
  1.15  or construct a child care or early childhood education site; 
  1.16     (3) establish a fund to provide forgivable loans or grants 
  1.17  to match all or part of a loan made under this section; and 
  1.18     (4) establish a fund as a reserve against bad debt; and 
  1.19     (5) establish a fund to provide business planning 
  1.20  assistance for child care providers.  
  1.21     The nonprofit corporation shall establish the terms and 
  1.22  conditions for loans and loan guarantees including, but not 
  1.23  limited to, interest rates, repayment agreements, private match 
  1.24  requirements, and conditions for loan forgiveness.  The 
  1.25  nonprofit corporation shall establish a minimum interest rate 
  2.1   for loans to ensure that necessary loan administration costs are 
  2.2   covered.  The nonprofit corporation may use interest earnings 
  2.3   for administrative expenses. 
  2.4      Sec. 2.  [APPROPRIATIONS.] 
  2.5      $1,000,000 each year is appropriated to the commissioner of 
  2.6   children, families, and learning from the general fund for the 
  2.7   biennium ending June 30, 2001, for a grant to a nonprofit 
  2.8   corporation for child care improvement activities under 
  2.9   Minnesota Statutes, section 119B.25.  Any amount remaining after 
  2.10  the first year does not cancel but is available the second year.